Trading bitcoin vs. investing bitcoin - what's the difference?

Kingsley

Valued Contributor
Both traders and investors seek to generate profits on the financial markets. Their methods to achieve this goal, however, are quite different. Generally, investors seek to generate a return over a longer period of time, they of think years or even decades. Since investors have a larger time horizon, their targeted returns for each investment tend to be larger as well.

Traders, on the other hand, try to take advantage of the market volatility. They enter and exit positions more frequently, and may seek smaller returns with each trade(since they're often entering multiple trades). Sometime they lucky and make much profits and some other times they suffer huge losses.

Which one is better? Which one is more suitable for you?
 

sincerem

VIP Contributor
Investing comprises of many options of increasing ones earnings when it concerns crypto in the digital ecosystem. If you're simply in, you'll understand what the term investing or trading is all about. They're simply similar, you can trade with different ideology, either trading with coin pairings, or trading to buy and sell, or trading to different coins etc.
 

Sotherefore

VIP Contributor
Both of them will always end in profit,when you are trading bitcoins you only buy when it is low and sell when it is high with a little percentage profit of 5 to 20%,when you are investing you are only investing for a period of months or years that is suitable for you for the main purpose of making profit from its long time valuability.
 

Good-Guy

VIP Contributor
Bitcoin Trading actually means purchasing Bitcoin and selling Bitcoin when the price rises. On the other hand, bitcoin investment might refer to anything that generates bitcoin. Even bitcoin mining is also a kind of investment where you tend to buy equipments in order to start mining bitcoin. Please note that this is my own definition and people may differ with me regarding this.
 

Mertayasa

Active member
This two think totally different, trading bitcoin is about you trade your coin to get more in just few second. Trading will make you double your bitcoin very easy but very risky as well, we need a lot of knowledge before doing this think. Investing bitcoin is safer then trading, investing mean we buy such as amount of bitcoin when the prize going down and sell it when the prize up.
 
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Deleted member 28127

Guest
This two think totally different, trading bitcoin is about you trade your coin to get more in just few second. Trading will make you double your bitcoin very easy but very risky as well, we need a lot of knowledge before doing this think. Investing bitcoin is safer then trading, investing mean we buy such as amount of bitcoin when the prize going down and sell it when the prize up.
Trade any type of coin and not bitcoin contains a lot of risk so to begin trader you must be well experimented. Instead of play a high leverage like 1:1000 or 1:500 as many are doing or the most popular 1:100 you can play a low leverage with less risk like 1:25 or 1:50 as profit will be less and risk on trading bitcoin will be so much lower that aiming to double bitcoin with large leverage trading.
 

btaliat

VIP Contributor
As far as I am concerned, those are the only two ways money can be made on cryptocurrencies. While one is aiming at short term investment, other is talkng about long term investment. To be in a safer side, it is better to be on long term term investment by keeping coins for longer period than trading with coins. Because it is easier to lose while trading if not well grounded in it.
 

Ahmedo24

Verified member
As far as I am concerned, those are the only two ways money can be made on cryptocurrencies. While one is aiming at short term investment, other is talkng about long term investment. To be in a safer side, it is better to be on long term term investment by keeping coins for longer period than trading with coins. Because it is easier to lose while trading if not well grounded in it.
Actually you have a point to an extent though more you going into cryptocurrency currency the more you understand the game I have come to realise that short-term trading with full knowledge is far better than long-term holding. There are people that are trading with minimum of $100 and making at least 5 to 10% daily so you can imagine what this set of traders could be making monthly.
 
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